scorecardresearch
Friday, March 29, 2024
Support Our Journalism
HomeEconomyYes Bank to raise $2 billion in share sale to raise capital

Yes Bank to raise $2 billion in share sale to raise capital

The share offering will be from 15 to 17 July, according to a stock exchange filing. Shares of Yes Bank climbed as much as 5.6% on Thursday morning.

Follow Us :
Text Size:

Mumbai: Yes Bank Ltd., the Indian lender that was rescued this year after being inundated with bad loans, plans to raise as much as 150 billion rupees ($2 billion) in a public offering to shore up capital.

The share offering will be from July 15 to 17, according to a stock exchange filing Thursday. The Mumbai-based bank had earlier planned to raise at least 80 billion rupees, people with knowledge of the matter said last month.

Indian banks are boosting balance sheets in anticipation of more soured debts as the coronavirus hammers businesses and leaves millions jobless. The Reserve Bank of India barred Yes Bank from paying some bondholders last month after its capital adequacy ratio fell below the minimum regulatory requirement.

Yes Bank will sell the shares to foreign and domestic institutions as well as retail investors, it had said earlier. State Bank of India, the company’s largest shareholder, has already committed 17.6 billion rupees.

Shares of Yes Bank climbed as much as 5.6% on Thursday morning in Mumbai.

The lender received a capital infusion of 100 billion rupees from eight local lenders led by SBI in March, as part of a bailout plan by the central bank.-Bloomberg


Also read: Protect bankers, act against miscreants with full force of law: Finance ministry tells states


 

Subscribe to our channels on YouTube, Telegram & WhatsApp

Support Our Journalism

India needs fair, non-hyphenated and questioning journalism, packed with on-ground reporting. ThePrint – with exceptional reporters, columnists and editors – is doing just that.

Sustaining this needs support from wonderful readers like you.

Whether you live in India or overseas, you can take a paid subscription by clicking here.

Support Our Journalism

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Most Popular